India pushing Rupee as next global trade instrument
It is not just Western sanctions on Russia that accelerated the trend to circumvent the dollar, but the strength of the currency in the past year has also posed a challenge.
The rupee today weakened 10 paise to 64.68 against the dollar in early session as demand for the American unit from importers and banks picked up.
Other than the demand surge, the dollar stayed ahead of the curve against a few currencies overseas that pushed down the rupee.
It was domestic equities with a higher start that came to the rescue and limited the rupee's losses, forex dealers said.
On Friday, the rupee had staged a mild recovery by gaining 5 paise to close at 64.58 against the dollar in a cautious trade.
The benchmark Sensex rose 147.59 points, or 0.48 per cent, to 31,069.20 in early trade today.
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